Consumer Segmentation in Food Retailing in Croatia: A Latent Class Analysis

Abstract

Purpose -In order to anticipate satisfaction with a retail store and its offer, it is crucial to consider whether the store fulfils the expectations of different consumer fragments with regard to store attributes.The main goal of this paper was to identify different consumer segments in accordance with their level of satisfaction with various retail store elements and to define the profile of each segment.Design/Methodology/Approach -An empirical study was conducted on 500 Croatian consumers, applying convenience sample through highly structured questionnaire.Using factor analysis, statements were divided into five meaningful dimensions (product assortment, price, store atmosphere, retail store quality and retail service quality).These factors were used as indicators for the latent class analysis.Findings and implications -The findings have indicated an optimal solution of five consumer segments with different level of satisfaction.Each of the identified segments (convenience-oriented, disinterested, assortment-oriented, price-sensitive and grey consumers) is de-

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